BALANCE OF PAYMENT - ON YOUR TIPS |ACC | HITESH NANKANI| CLASS 12 | CSEET |

Current Account: This account records the flow of goods and services, as well as income and current transfers, between a country and the rest of the world. It includes the following components:

a. Trade Balance: The trade balance represents the difference between a country's exports and imports of goods. If exports exceed imports, it is referred to as a trade surplus, while a trade deficit occurs when imports exceed exports.

b. Services Balance: The services balance covers international transactions related to services, such as tourism, transportation, banking, and consulting. It includes exports and imports of services.

c. Income Balance: The income balance accounts for income flows, such as wages, salaries, and investment income, between residents and non-residents. It includes factors like compensation of employees, investment income, and other income.

d. Current Transfers: Current transfers involve unilateral transfers of money, goods, or services between countries, without expecting anything in return. Examples include foreign aid, remittances, and grants.

Capital and Financial Account: This account records capital transfers and financial transactions between a country and the rest of the world. It includes:

a. Capital Transfers: Capital transfers involve the transfer of ownership of fixed assets or the forgiveness of debt. Examples include the transfer of land, buildings, and debt forgiveness.

b. Financial Account: The financial account tracks transactions related to financial assets and liabilities, such as direct investment, portfolio investment, and other investment. It reflects the investment and borrowing activities of residents and non-residents.

#class12 #upsc #BalanceOfPayments #hiteshnankani #acc #accjodhpur #hitesh #trendingvideo #education #class12 #cseet #upse #cbse
#BOP
#InternationalTrade
#CurrentAccount
#CapitalAccount
#TradeBalance
#CurrentTransfers
#ServicesBalance
#IncomeBalance

Видео BALANCE OF PAYMENT - ON YOUR TIPS |ACC | HITESH NANKANI| CLASS 12 | CSEET | канала ACC - Academy For Corporate Career